Dec 11

Estate Planning Word of the Day

Agent – noun A person nominated to perform tasks or duties for another person.

Should you become unable to handle your own affairs, either through a mental or physical handicap, then you would need someone to perform those duties for you. If you create a durable power of attorney, then you can name your own agent who will take care of your business during your incapacity. If you fail to nominate an agent, the state laws will dictate that a guardian or conservator must be appointed to handle your affairs.
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If you are worried about the care you will receive or who will act on your behalf as an agent, then please do not hesitate to contact my law offices for more information.

Dec 10

Estate Planning Word of the Day

Intestate – adj. not having made a will before death; or noun a person who has died without having made a will.

If you die without a will, then you do not die without a plan. Instead, you die with the plan that the State of your residence (and any state in which you owned property) wrote for you. The state intestacy statutes usually dictate that your closest living relatives will inherit all your property.
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A simple way to avoid dying intestate is to create a will, trust or create other transfer documents. You need to do this while alive, so do not hesitate to set up an appointment to discuss your needs if you live in Altus or southwest Oklahoma.

Dec 09

Latest CBO Report on Taxes

According to a recent Congressional Budget Office report on taxes, the top 40% of income earners are paying 106.2% of the nation’s net income taxes. How is paying more than 100% possible? The answer is that low income earners get refundable tax credits often in excess of what they pay into the system.

A prime example of such refundable tax credit is the Earned Income Credit. This gives money to people who have earned income, but are still below the poverty line based on the size of their households. One of the largest redistributions using this that I have seen was when I was preparing taxes voluntarily while in law school. An individual came to me and she had about $6,500 in income. She also had three kids. Her EIC ended up being about $8,000.
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A lot is still said about the rich not paying “their fair share”. I think that is a lot of bunk and these recent numbers (and my past experiences) seem to back that up.